Indian wealth lying in foreign banks

Bangalore, Feb 17: The illicit outflow of Indian money since 1991 amounts to a whopping Rs 2,100,000 crore, says a report by the Global Financial Integrity, a Washington based organisation. The public perception is that India is a poor country but the report is all set to shatter the views.

Politicians as well as businessmen have plundered the nation's wealth. The report has stated that post-1991 economical reforms, a large portion of the wealth has flown outside the nation. It states that in the last six decades, India has lost nearly $462 billion due to this illegal and unaccounted flow of money.

The report claims that every year an estimated $19 billion is driven outside the nation.

The then Prime Minister PV Narasimha Rao government in 1991 initiated many economical reforms, like globalisation, privatisation and liberalisation. Later, it turned out to be a milestone in nation's development. These reforms led to an increase in the Gross Domestic Product (GDP) growth of the country.

However, irregularities in distribution of wealth left the country economically imbalanced.

Enormous amount of nation's money was driven out by tax evasion, in addition to corruption and crime, report said.

The poor are becoming poorer and rich more richer day after day. Defaulters are wholly responsible for this massive imbalance. Sources said that in 1995 about $36.4 billion Indian money was held in foreign banks. A recent report claims that in 2009 estimated $54.2 billion has being lying in non-Indian banks.

OneIndia News
(Translated work of Coovercolly Indresh)